Deion Sanders' son Shilo Sanders in hot water over his latest bankruptcy case: REPORTS

Colorado Buffaloes safety Shilo Sanders, son of coach Deion Sanders and brother of quarterback Shedeur Sanders, follows the lavish lifestyle his family is known for.

However, Sanders found himself in trouble after a civil trial, stemming from an altercation with a security guard (John Darjean) in 2015. The tussle allegedly left the security guard with permanent injuries. When the Colorado safety did not appear for the 2022 trial, Darjean was awarded $11.89 million by default.

Shilo Sanders filed for bankruptcy and appealed for the complaint against him to be dismissed. But on Monday, the issue was dismissed by a federal judge.

In his ruling, the judge, Michael Romero, cited limited liability companies (LLCs) owned by Shilo to service his NIL deals as cause for the complaints not to be dismissed.

“The Complaint contains sufficient allegations that Sanders’ companies function as his alter egos and that the corporate veils of the LLCs should be pierced,” the judge wrote.

“The Court therefore denies Sanders’ request to dismiss Darjean’s … claim purely on the basis it might involve assets owned by Sanders’ LLCs,” the judge wrote. “However, the Court cautions Darjean that reverse piercing is considered an 'extraordinary remedy' and he faces a high burden to demonstrate all necessary factors at trial.”

Shilo Sanders case examined

Security guard John Darjean claims that in 2015, the then-15-year-old Shilo Sanders resisted his efforts to confiscate his phone. He went on to elbow him in the chest which caused permanent injuries.

He filed a lawsuit at a Dallas District Court alleging:

“Sustained severe and permanent injuries including a broken neck, damage to his cervical spine, permanent neurological injuries and irreversible incontinence,” Darjean's lawsuit stated.

The case has come at an inopportune moment for the Colorado star due to the prevalence of NIL endorsements which allow student-athletes to earn money. He and his family have also publicly flaunted expensive jewelry, vehicles and a lifestyle that called into question the claims of his bankruptcy.

According to court documents obtained by The Athletic, Shilo Sanders claims in his bankruptcy filing that his income totaled $193,713 last season.

Next season will be the safety's last season of eligibility and he is widely expected to declare for the NFL Draft alongside his brother. His charismatic father has reiterated this several times in the past.

The Shilo Sanders case has taken on a new twist. It is yet to be seen how much the matter will destabilize Deion Sanders and the Colorado Buffaloes' preparations for next season.